The Privatization Division has told a Senate subcommittee that no fresh approval from the Council of Common Interests (CCI) is required to proceed with the privatization of nine power distribution companies (DISCOs), citing a 2011 decision that approved the process.
The division said the CCI had approved the privatization of nine DISCOs and three generation companies (GENCOs) in 2011.
It also cited the National Electricity Policy, approved by the CCI on June 21, 2021, which allows the government to explore privatization options to improve the efficiency of state-owned entities where applicable.
According to the Privatisation Division, the Law Division reaffirmed in a letter dated September 25, 2026, that the 2011 CCI decision remained valid and that fresh approval was not required for the privatization of DISCOs.
The position drew objections from a Senate subcommittee reviewing the Privatisation Commission’s report on the proposed sale of the distribution companies.
Committee Chairman Zamir Hussain Ghumro raised concerns about the privatization of entities performing functions that fall within provincial jurisdiction and directed officials to review the constitutional and legal position.
The committee maintained that matters involving provincial responsibilities should be placed before the CCI, in line with its earlier directions. Ghumro said the DISCOs’ functions could either be legalized through approval from provincial assemblies or transferred to the provinces.
The committee also expressed reservations about the Privatisation Commission’s response, accusing it of trying to push ahead with the process without fresh CCI approval.
It warned that failure to comply with its directions could prompt parliamentary action, including consideration of a privilege motion.
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